Dolphin Drilling AS — Earnings Release 2023

Nov 28, 2023

Dolphin Drilling - third quarter 2023 financial results

Dolphin Drilling - third quarter 2023 financial results

(Oslo, 28 November 2023) Dolphin Drilling AS (Dolphin Drilling, OSE: DDRIL)

today announced its unaudited results for the three and nine months ended 30

September 2023.

Q3 2023 highlights

· EBITDA of USD 4.6 million (USD 1.6 million in Q2)

· Blackford Dolphin has been operating for General Hydrocarbons Limited (GHL)

throughout the quarter and achieved 98.3% operational performance

· The Total Recordable Incident Rate for the Blackford Dolphin operation was

zero during the quarter

· Operating cost for Blackford at USD 106,000 per day, improved from USD

116,000 in the previous quarter

· Completed a private placement of USD 60 million and a subsequent repair

offering raising USD 8 million. Total outstanding shares of 219,890,099 after

the capital raises

· Accounts receivable outstanding has increased during the quarter. Despite

extensive efforts made by the company to collect on past due payments from

General Hydrocarbons Limited (GHL), the total receivable balance grew to USD 41

million, which includes USD 6 million payable by Peak Petroleum and USD 17.3

million of net amounts due from GHL (after netting advances, withholding tax and

VAT)

Subsequent events

· Signed contract with EnQuest PLC for a drilling program in UK for Borgland

Dolphin. Firm period of 137 days plus mobilisation plus significant optional

periods to be confirmed within 90 days

· Signed LOA with Oil India Limited for a drilling program in India

· Dolphin obtained UK acceptance for Paul B. Loyd, Jr. Safety Case ahead of

schedule. Closing of transaction now anticipated early in Qtr 1 2024

· Signed a term sheet for a USD 65 million Loan Facility with Maritime Asset

Partners Ltd, expected to complete in conjunction with Paul B. Loyd, Jr

acquisition

· The total Revenue backlog of USD 422 million, excluding option periods,

effective on 30 November 28, 2023, including the contemplated acquisition of

Paul B. Loyd, Jr. and Transocean Leader

Bjørnar Iversen, CEO of Dolphin Drilling commented:

"The company has made good progress adding contract revenue backlog following

Euronext Growth listing in Q3 2022. As of the date of this report we have

increased total firm revenue backlog to USD 422 million. Adding option periods,

the revenue backlog increases to USD 941 million. We are pleased to have secured

firm work for three of our drilling rigs including the to be acquired rig Paul

B. Loyd, Jr., delivering on our promises to return more of our stacked rigs to

work."

Dolphin Drilling will present its results for the third quarter of 2023 in a

webcast today, 28 November 2023, at 9:00 CEST. The presentation material is

enclosed with this announcement. The webcast can be accessed from this link:

Direct link:

https://channel.royalcast.com/landingpage/hegnarmedia/20231128_5/

For further information, please contact: Ingolf Gillesdal, email:

ingolf.gillesdal@dolphindrilling.com, tel: +47 920 45 320 Dolphin Drilling |

www.dolphindrilling.com

Dolphin Drilling is a leading harsh environment drilling contractor for the

offshore oil and gas industry. Dolphin Drilling owns a fleet of three high

-technical standard 4th and 5th generation enhanced Aker H3 units, Borgland

Dolphin, Blackford Dolphin, and Bideford Dolphin, operated by an experienced

team with a strong operational track record. The company has offshore and

onshore offices and operations in Norway, Scotland, Brazil, and Nigeria.